"Mortgages can be fun!"
(said no one ever)
The VA loan program is an amazing benefit provided for members of our armed forces and their families. While the advantages of the VA mortgage are both attractive and well deserved, there are still plenty of questions that can come up with this loan. Here we’ll cover some common VA mortgage questions we’ve helped others with:
Nope. You can use your full VA entitlement over and over again as long as you pay off the existing VA loan each time. There are even a few cases where you may be able to obtain more than one VA loan at one time.
The VA requires that you occupy this home as your primary residence, generally within 60 days of closing…but if you’re get a duplex or multi-unit property you can certainly live in one unit and rent the others.
The VA loan is primarily designed for properties in move in ready condition. If you’re looking to buy a home that’d require a lot of work, check the requirements the VA has regarding condition.
With the VA loan you will not have any monthly mortgage insurance which can mean a savings of hundreds of dollars per month.
With VA loans there is a one-time fee called a funding fee. Those fees go towards covering the costs of the VA loan program. The actual amount depends on a few factors…but it can be rolled into the loan amount. Also in some cases it can be waived entirely.
No, you can send extra mortgage payments without penalties.
It really depends on what you are trying to optimize for: cost or flexibility. On one hand, the 15 year term should come with a lower rate so it wins cost-wise, BUT the 30 year term comes with more flexibility because you could stop making those double payments if stuff ever hit the fan.
PS Check out our simple eval process where you can choose whether you want to: get real rates specific for your scenario (beware of teaser rates!), see how much home you can afford, get pre-approved, or quickly submit your contact info so we can get back in touch.